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TMI Blog2017 (10) TMI 699X X X X Extracts X X X X X X X X Extracts X X X X ..... e irregular excess credit they ought to have reversed it along with interest without waiting for a show cause notice. The liability to pay interest is automatic and continuous till the duty is paid. This being so the appellant cannot deliberately abstain from paying the interest on the excess credit and then take shelter that the demand is time-barred - appeal dismissed - decided against appellant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to the tune of ₹ 3,40,037/- for the period from April 2005 to August 2005. On coming to know of the excess availed credit, the appellants had reversed the same in July 2008 and August 2008 but the interest payable on the same was not reversed. The department issued show cause notice dated 22.2.2011 invoking extended period. He argued that since the appellant had reversed the credit voluntari ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y the credit availed. The demand raised on the interest portion cannot be said to be barred by limitation being a continuous liability on the wrongly availed credit. Thus appellant is liable to pay the interest till the date of reversal. The intention to evade payment of interest is clear from the fact that appellant reversed only the excess credit and not the interest thereon. The extended period ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is paid. This being so the appellant cannot deliberately abstain from paying the interest on the excess credit and then take shelter that the demand is time-barred. 6. On such score, I do not find any ground to interfere with the impugned Final Order. The restoration application filed by the appellant is devoid of merit and the same is dismissed. (Dictated and pronounced in open Court) - ..... X X X X Extracts X X X X X X X X Extracts X X X X
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